Trade FX from the Trading Window

If you have a multi-currency margin account, you can trade domestic and foreign securities and currencies from that same account.  

To use FXTrader for trading FX, see the FXTrader topic.

To trade FX from the trading window

  1. Add a market data line using the traded currency symbol.

  2. Select the instrument type Forex, and choose the trading currency.

Examples

Example 1

If you want to buy/sell a specific amount of GBP, set up the market data line by entering the symbol GBP (as the transaction currency) and selecting Forex as the instrument type. In the Contract Selection box, choose USD as the Currency (settlement currency) from the list in the right pane. You will then receive the quote USD/GBP, e.g. Bid: 1.5300 Ask: 1.5310. This means that GBP 1 = USD 1.53XX

If you want to buy GBP 10,000, click on the ask and enter 10,000 as the quantity of GBP that you wish to buy. You will pay $1.5300 for each GBP. Thus, you will pay $15,310.

If you want to sell GBP 10,000, click on the bid and enter 10,000 as the quantity of GBP that you wish to sell. You will receive $1.5300 for each GBP. Thus, you will receive $15,300.

Example 2

If you want to buy/sell a specific amount of USD, set up the market data line by entering the symbol USD (as the transaction currency) and selecting Forex as the instrument type. In the Contract Selection box, choose GBP as the Currency (settlement currency) from the list in the right pane. You will then receive the quote GBP/USD, e.g. Bid: 0.6530 Ask: 0.6536. This means that USD 1 = GBP 0.653XX

If you want to buy USD 10,000, click on the ask and enter 10,000 as the quantity of USD that you wish to buy. You will pay GBP 0.6536 for each USD. Thus, you will pay GBP 6,536.

If you want to sell USD 10,000, click on the bid and enter 10,000 as the quantity of USD that you wish to sell. You will receive GBP 0.6530 for each USD. Thus, you will receive GBP 6,530.

Interactive Brokers provides two vehicles for the exchange of currencies: IDEALPRO which allows a customer to trade Forex, and IDEAL which allows a customer to convert their balances from one currency to another. Whatever currency balances you may hold, we generally pay higher interest on credit balances, and charge lower interest rates on debit balances than other brokers.

For market center details on IDEAL and IDEALPRO, see the Forex Products pages on the IB website.

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